When two or more firms combine to form a new firm,it is called a(n)
A) takeover.
B) acquisition.
C) merger.
D) organic design.
E) mechanistic design.

Question

Quizplus · Accepted Answer

A merger is the combination of two or more firms to form a new firm. A takeover is when one firm acquires another firm. An acquisition is the process of purchasing one firm by another. Organic and mechanistic design refer to the structure of an organization and are not relevant to the question.

When Two or More Firms Combine to Form a New